Business
Inmaculada Receives Final Mill Construction Permit
Inmaculada Receives Final Mill Construction Permit.
About this update from Hochschild Mining Plc
[{"type":"text","content":"\n \nRNS Number : 4795O Hochschild Mining PLC 20 September 2013 \n \n\n \n \n \n \n \n20 September 2013\n \n \n \nHochschild Receives Final Mill Construction Permit for Inmaculada Project\n \nHighlights\n· Inmaculada mill construction permit approved by Peruvian government\no Production on track to commence in Q4 2014\no Exploration ongoing to access significant upside potential\no Profitable project at conservative price assumptions\no Inmaculada expected to be Hochschild's lowest cost operation\n \nHochschild Mining plc (\"Hochschild\") is pleased to announce that the Peruvian government has approved the mill construction permit for its 60% owned Inmaculada Advanced Project. This represents completion of the final stage of the project's construction permitting process with commissioning on track for Q4 2014.\n \nThe processing plant is now set to start construction, with the project's total initial capital expenditure maintained at $370 million for a 3,500 tonne per day underground operation with total average annual production of 12 million silver equivalent ounces from the single \"Angela\" vein. The project, which is located close to Hochschild's other operations in the south west of Peru is set to be the Company's lowest cost operation and will also require no additional central administration cost. \n \nExploration is also progressing at the property which consists of 40 mining concessions with Measured and Indicated resources that are currently estimated at almost 90 million silver equivalent ounces. Hochschild strongly believes that the mineable resource base will be expanded significantly by upgrading the inferred mineral resources in the South West and North East extensions of the Angela vein into the reserve category through additional definition drilling work. In addition, the Inmaculada district hosts over 25 kilometres of gold/silver-bearing quartz veins of the low sulphidation type which remain largely untested. \n \nIgnacio Bustamante, Chief Executive Officer commented:\n\"I am delighted to report that we have received the necessary mill construction permit from the Government of Peru, as expected, and can now proceed with the final key construction stage of our flagship growth project. Th...